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AP Cuts Paper Rates, Threatens Websites

From their comrades at Reuters:

Tom Curley, president and CEO of The Associated Press, speaks at The Associated Press annual meeting in San Diego, Monday, April 6, 2009.

AP cuts newspaper rates, moves to protect web news

By Robert MacMillan Robert Macmillan – Mon Apr 6

NEW YORK (Reuters) – The Associated Press unveiled rate cuts on Monday to help member newspapers reeling from declining advertising revenue and said it would sue websites that use its members’ articles without permission.

Changes announced by the AP at its annual meeting in San Diego include $35 million in rate assessment reductions for 2010 on top of $30 million it already instituted for 2009…

The AP, a nonprofit cooperative formed by its member newspapers, said revenue from U.S. papers would fall by about a third between 2008 and 2010.

In 2007, 25 percent of its $710 million in revenue came from U.S. newspapers.

Seventeen percent of its revenue comes from digital sales, such as the Internet and mobile devices, Kennedy said, adding that the number could grow to more than 20 percent in 2010. Most newspaper publishers get about 10 percent of their revenue online, and the other 90 percent in print.

The AP also threatened to "pursue legal and legislative actions" against websites that do not properly license news content. It said it would develop a system to track its members’ and its own news distributed online to determine whether it is being legally used.

"We can no longer stand by and watch others walk off with our work under misguided legal theories," Singleton said…

So the Associated Press is threatening to sue the world — again.

Never mind that websites actually drive readers to their internet sites, which are soon going to be more profitable than their newspapers.

And never mind that it is literally impossible to chronicle the outrageous bias of the Associated Press and the rest of our watchdog media, as we do here, without providing the examples of same.

The AP, a nonprofit cooperative formed by its member newspapers…

Which may signal that the recent talk of making newspapers 501c3 “charities” might not work out so well after all.

And speaking of Reuters, how come we aren’t hearing anything about newspapers in Great Britain or even the rest of Europe suffering the same problems as their brethren in the US?

This article was posted by Steve on Monday, April 6th, 2009. Comments are currently closed.

6 Responses to “AP Cuts Paper Rates, Threatens Websites”

  1. proreason says:

    They are a non-profit organization, yet they seem to be worried about revenue and costs.

    How can that be?

    Let’s cipher this.

    Profit = Revenue – Costs.

    If they aren’t in business to make a profit, then it shouldn’t matter what their Revenue and Costs are. Even if their intent is for Revenue to match costs, then they simply need to adjust costs and prices to keep the equation in balance.

    Could it be that, somehow, profit matters to the AP? Perhaps because it matters to the member newspapers that pay for the service?

    But then, calling the AP non-profit, would be disingenuous, wouldn’t it? And the AP doesn’t lie, does it? After all, it’s a famous news organization, dedicated to the truth. And in addition, the AP regularly “reports” on the evils of profits made by oil companies, banks, and other immoral for-profit businesses.

    Why, it’s almost as if the AP is a two-faced, lying sleezebag organization, dedicated to making profits for their member organizations while claiming to be not-for-profit and holding itself as the moral superior to people and businesses that make profits.

    What a puzzler.

  2. Odie44 says:

    When will these fools learn to recognize trends and run a business properly?

    Similiar to the music industry – these morons cannot see that a) the legacy model is broken and b) digital-based information is 10 times more efficient than running a print press and is at their finger tips to control and make profits.

    Similiar to the music industry’s self-funded legal arm – RIAA, the AP is trying to set the rules and formulas for “success”, while burying their head in the sand, regardless of the glaring reality.

    Here is a perfect example: RIAA were running around suing 78 year old grandma’s for their grandkids “downloading activity”, and claiming they lost, on average “$20 per CD – with an aerage of 12 songs per record”. Yet, they made a deal with Jobs for .99 cent per song distribution and ownership rights. Thats an net $8 difference, of which it doesn’t cost to press a CD. What it did represent, in 5th grade math – was their greed to fudge the original costs for profit – which was the so-called basis for the lawsuits, to desperately retain a broken, greed-filled legacy business model.

    Theywonder why it is a failing industry, much like traditional print. And I haven’t even gone into the gross left leaning content, just exposing the operational and legal bull shit from both groups.

    I hear the Horse and Buggy lobby is really heating up in DC…

  3. Lisa22 says:

    From what I’ve noticed (I lived in London for several years), the papers do well there because they have more people-focused stories and they do a lot more of investigating and legwork in trying to find good stories. My own paper, the Los Angeles Times, is the laziest paper I have ever seen – plus they focus on the same stories again and again (and again), such as “poor immigrant” stories, biased-against-conservative stories – it just gets old.

  4. BillK says:

    It’s the left that continually cries “fair use” at any allegation of copyright infringement, so it’s time for them to be subject to their own policies.

    If they don’t like that, perhaps we can develop a filter to add smilies to all AP posts and it will be court-protected parody.

    (Not like AP’s news reports aren’t already parody…)

  5. Liberals Demise says:

    Boo frickin’ Hoo.
    Maybe you losers can have a drink with the NYT losers and cry on each others shoulders and remember when you all were once “KINGS”.
    (a long time ago when ya’ll had credibility and balls)

  6. Liberals Make Great Speedbumps says:

    “We can no longer stand by and watch others expose our agenda and the propaganda we work hard at, day in and day out to pass off as news, under misguided legal theories, such as the First Amendment” Singleton said…

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